Class IV Gains Traction Following Positive Global Dairy Trade
July 7, 2020
Global dairy trade event 263 started our day with an 8.3% move higher than 3 weeks prior. All the products traded higher except anhydrous milk fat that was 2/10 of a percent lower. Butter was up 3%, Cheddar was up 3.3%, lactose traded 1.9% higher, skim milk powder was up 3.5%, and whole milk powder gained a whopping 14% over the previous trade.
The CME spot market saw some large volumes of dry powders trade. Grade A nonfat dry milk traded 24 load and gained 2 cents to $1.03 ¼. Dry whey saw 8 loads trade hands, falling 2 ½ cents to $0.28 ¾ /lb. Butter moved 4 loads, falling ¾ of a cent to $1.73 ¾. The Cheddar markets was quieter. Blocks gained a penny on 2 loads trading to $2.71 /lb. and barrels held unchanged with no trades, no bids, and no offers.
Class III milk was mixed during trading. Starting the day higher and seeing a sell off prior to the 11 a.m. cheese trade and price faded as our day progressed. July finished up 19 to $23.44, August fell 14 to $21.50, and September fell 2 to $19.13/cwt. Class IV milk saw gains nearby. July up 1 to $14.27, August gained 3 to $14.95, and Sept gained 9 to $15.19 /cwt.
Grain markets saw selling pressure as well Tuesday. Corn fell 1 ½ to $3.45 even, soybeans fell 3 ¼ to $8.95 ¼, and soybean meal slid $2.10 lower to $293.30/ton.